BBVA Compass announces response to 2018 CCAR capital plan

BBVA Compass Bancshares, Inc., a Sunbelt-based bank holding company (BBVA Compass), announced today that the Board of Governors of the Federal Reserve System (Federal Reserve) did not object to its capital plan and capital actions proposed in the capital plan. BBVA Compass’ capital plan includes common dividends of $315 million during the covered period, subject to approval by BBVA Compass’ board of directors.

“We are pleased that our capital plan and proposed capital actions once again received a no objection response from the Federal Reserve,” said Onur Genç, president and CEO of BBVA Compass. “The results of the CCAR along with the results of the Dodd-Frank Act Stress Test released last week illustrate the importance we have placed on instilling a disciplined capital management process while also effectively managing our risk profile. In turn, this has allowed us to maintain a strong capital position, including during the hypothetical severely adverse scenarios contemplated in these stress tests.”

BBVA Compass submitted its capital plan, which was approved by its board of directors, to the Federal Reserve in April 2018 as part of the Comprehensive Capital Analysis and Review (CCAR) of 38 companies that represent the largest U.S. bank holding companies and large U.S. operations of foreign firms. The capital plan includes proposed potential capital actions covering the period from July 1, 2018, through June 30, 2019 (covered period). This marks the fifth year that BBVA Compass has been subject to CCAR and, in each of the periods covered, has received a no objection response by the Federal Reserve to its capital plan.

On June 21, the Federal Reserve disclosed the results of its 2018 Dodd-Frank Act Stress Test (DFAST) for the 35 firms that represent bank holding companies with $100 billion or more in total consolidated assets and U.S. intermediate holding companies. Each of BBVA Compass’ projected regulatory capital ratios exceeded the applicable regulatory minimums as defined by the Federal Reserve for all the quarters included in the nine-quarter forecasting horizon beginning January 1, 2018, and ending March 31, 2020, under the hypothetical supervisory severely adverse scenario.

Additional information pertaining to BBVA Compass’ CCAR and DFAST results can be found on our website at bbvacompass.com under the Investor Relations tab.

BBVA Group Executive Chairman Francisco González thinks it is necessary to establish “a new global regulation,” one that could benefit society as a whole with all the opportunities the digital era has to offer. “We are living an unprecedented revolution, that could bring a never-before-seen level of well-being if we manage to make progress in a new legal architecture,” he pointed out during a meeting at the Institute of International Finance (IIF) in Brussels.

“The path is made by walking,” said the great poet Antonio Machado. In the case of BBVA, the path has more than 160 years of history, starting with the bank´s foundation and today, it has reached a turning point. The new BBVA is a global financial group leading the transformation of the banking industry worldwide, putting all the new opportunities within everyone´s reach.

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